In recent years there has been a major shift in the way our customers use the electricity network. In response, we are changing the way we charge for the use of the network, to ensure we can continue to meet everyone's needs into the future for the best possible price.

These charges make up about half of the average retail electricity bill.

Why these reforms? Watch this short video to learn more.

Transcript

At Ergon Energy, we're
changing the way we charge to use the electricity network.

And the big question everyone
is asking us is why?

In short, it's because the
way our customers are using the network is changing. And we want to ensure we
can continue to meet everyone's needs into the future, for the best possible
price.

Consider this. Our network
forms part of the biggest electricity grid in the world. Capable of reaching
the moon and back, it delivers energy at the speed of light and is truly an
engineering masterpiece.

Now, thousands of customers
are exporting solar electricity back into the grid and the whole system is
becoming more of a two way street. So much so that in some areas, when the
sun's shining, more energy is being exported along the lines than delivered.

Adding
to this, the use of the network during peak periods has continued to be
disproportionately high.

Over the years we've worked
hard to ensure our network can meet the changing needs of our customers… enhancing
their lifestyles 24 hours a day, 7 days a week.

However, the way we charge
has not kept up, which has contributed to electricity prices rising…

It's also led to more changes
to the way our customers use electricity and to how we manage it. We want to
do even more to keep costs down and we think changing the way we charge will help with this.

We're also looking ahead. In
the future we expect further change with new electricity supply options and
energy efficient technologies. Which is a good thing for our customers and regional Queensland!

That's why we're embracing
change. So that our customers can continue to use the network in new and better
ways…with the responsibility for the costs shared in a way that's fair and
equitable.

We're doing this by
introducing a range of new, smarter network tariffs. These tariff reforms will
give greater choice and control, with prices that better reflect how different
customers use the network differently, which is vital, as network charges
account for about half of the average electricity bill.

Rest assured, these reforms will not increase
the money we're allowed to collect for the use of the network overall. This is set in advance,
independently by the Australian Energy Regulator.

Over time, by better aligning
our costs with our customers' choices, we hope to bring costs down for
everyone. So whether you use the network a little or a lot, make your own
electricity, export it or store it, we're working to ensure that you can do so
for the best price possible.

That's why we're opening the
lines of communication now and making the changes gradually, to ensure they can
be understood and embraced.

For more information visit us online.

Find out more

We have consulted with our customers to help develop our Tariff Structure Statement, an outline of our network pricing structures and indicative rates out until 2020.